Reliance began participating in development of the Eagle Ford after signing a joint venture agreement with Pioneer Natural Resources in June 2010. Reliance does not currently operate any oil and gas production in the US, but does have two other JV agreements in the Marcellus Shale. The company participates in acreage with Atlas Energy (now Chevron) and Carrizo Oil & Gas.
Reliance Industries and Pioneer reached a JV agreement where Pioneer sold a 45% interest in approximately 212,000 net acres for a total prices of $1.15 billion. Reliance paid $266 million initially and will carry future drilling costs of $879 million. The JV will utilize horizontal drilling to produce gas and condensate in the liquids-rich portion of the formation. Reliance and Pioneer will also partner in the development of midstream assets where Reliance will be a 49.9% partner.
Reliance Industries Limited is the largest private sector company in India. The company has integrated vertically to build upon its businesses, which include, polyester, fiber intermediates, plastics, petrochemicals, refining, and oil & gas exploration & production. The company has annual revenues of more than $50 billion
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Counties Where Reliance is Active
- Atascosa County
- Bee County
- DeWitt County
- Karnes County
- La Salle County
- Lavaca County
- Live Oak County
- McMullen County
Reliance Eagle Ford Shale Quarterly Commentary
January 21, 2011
“…RIL through its Subsidiary, Reliance Eagleford Upstream Holding LP, has entered into a joint venture with United States based Pioneer Natural Resources Company, of Irving, Texas under which Reliance acquired a 45% interest in Pioneer‟s core Eagle Ford Shale acreage position. The acreage will support the drilling of over 1,750 wells with a net resource potential to the joint venture of approximately 10 TCFe (4.5 TCFe net to RIL)….”
Source: Reliance Industries